Release No.: 041-19
WASHINGTON, April 4, 2019 – On March 19, 2019, J2 Marketing LLC, doing business as J2 Cattle, Chandler, Ariz., waived its right to a hearing, entered into a stipulation agreement with the U.S. Department of Agriculture (USDA) and paid a penalty of $4,800 for alleged violations of the Packers and Stockyards (P&S) Act.
The Agricultural Marketing Service’s (AMS) investigation revealed J2 Cattle failed to pay timely for livestock purchases totaling $748,746 from November 2, 2017, through April 19, 2018. Additionally, the investigation also revealed J2 Cattle created false records by entering the wrong payment date on checks issued for payment.
Payment for all livestock is due before the close of the business day following the purchase and transfer of possession of the livestock. Failure to pay when due for livestock is a violation of the P&S Act and places livestock sellers at risk of not being paid timely or at all. P&S regulations state that no dealer may make, issue, or circulate any false or misleading representations concerning the sale of any livestock. Such a practice is considered unfair and is a violation of the P&S Act.
The P&S Act authorizes the Secretary of Agriculture to assess civil penalties up to $28,061 per violation against any person after notice and opportunity for hearing on the record. USDA may offer alleged violators the option of waiving their right to a hearing and entering into a stipulation agreement to quickly resolve alleged violations.
The Packers and Stockyards Act is a fair-trade practice and payment protection law that promotes fair and competitive marketing environments for the livestock, meat and poultry industries.
For further information about the Packers and Stockyards Act, contact Stuart Frank, Director, Packers and Stockyards Division, Fair Trade Practices Program, at (515) 323-2586, or by email at Stuart.Frank@usda.gov.
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